Anil’s ADA to have four listed companies

Currently, ADA group has Reliance Capital and Reliance Energy as listed companies. It plans to list Global Fuel Management Serices Ltd and Reliance Communications Ventures Ltd before March 23, 2006. The entire demerger exercise will be over within the next four to six months as it needs approvals from the courts and shareholders.

Addressing a news conference, Anil said, at present, RIL holds 47.2 per cent stake in RCL. RIL shareholder will receive 5 shares of RCL for every 100 held. ‘‘This will be achieved by merging Reliance Capital Ventures Ltd, the resulting company from the reorganisation, into RCL,’’ he said.

ADA will end up with 50.5 per cent stake in RCL while RIL’s shares will fall to zero from 47.9 per cent. This company will have a market cap of Rs 9,000 crore.

Similarly in Reliance Energy, every RIL shareholder will receive seven free shares of REL for every 100 held. This will be achieved by merging Reliance Energy Ventures Ltd, the resulting holding company from the reorganisation, into REL. This will increase Anil’s stake to 26.4 per cent while RIL’s stake will fall to zero from 46.5 per cent.

Among the new companies, Global Fuel Management Systems will be the holding company with contracts for supply of natural gas from RIL. RIL shareholders will get 100 free shares for every 100 held. ‘‘We will have a gas contract agreement with RIL to source our all engery requirment under GFMS,’’ Anil said.

The agreement with RIL would ensure gas supply to all our projects, he said, adding: ‘‘We are going to sign an agreement for this purpose soon.’’ This would ensure gas supply to ADA Enterprises’ Ventures in western India mainly, but provision would also be made to source gas requirement of the northern region.

The MoU signing with RIL ‘within weeks’ is also expected to ensure gas for ADA Enterprises upcoming over 7,480 mw Dadri power plant in Uttar Pradesh. Anil said all stakes in Reliance Infocomm, Reliance Telecom, Flag Telecom and Reliance Communications Infrastructure Ltd will be held by his holding firm Reliance Communications Ventures Ltd.

RCVL will hold 65.9 per cent stake directly and indirectly in RIC and 35.2 per cent in RTL. ADA will hold 37 per cent stake in RCVL, which will be listed by March 31, 2006. Anil ruled out any new shares by way of IPO. ADA Enterprises will not be listed as per the plan. Currently, Anil and wife Tina hold the 100 per cent stake in ADA.

As per current valuation, Reliance Infocomm has a market value of Rs 25,000 crore. All the group shares are expected to hit the market in a couple of months, he added.

Brothers not to compete

MUMBAI: ADA Enterprises Chairman Anil Ambani on Wednesday declared that there would be a non-competing agreement between his group and the parent group, ending speculation about the future relationship with Reliance group led by elder brother mukesh. ‘‘We will sign non-competing agreement between Reliance and ADA Enterprises,’’ Anil told the press conference.